F1 greats in Brands Hatch talks

VETERAN British motor racing legends Sir Jackie Stewart and Nigel Mansell are being sounded out to front a £70m deal to buy Brands Hatch from its American owners.

Three times Formula One champion Stewart is one of several big names in British motor sport linked with a short list of 25 groups vying to buy the famous Kent track from US media group Interpublic, deal sources said.

Although private equity firms make up the bulk of the bidders, several are lining up personalities with good industry connections, with Stewart a favourite. Fellow former champion Nigel Mansell is also on the list to front their plans, with experienced events management organisers in hot demand.

Interpublic's leisure division Octagon Sports, formerly called Brands Hatch Leisure, is selling Brands Hatch along with its other race circuits Oulton Park in Cheshire, Cadwell Park in Lincolnshire and Snetterton in Norfolk.

Income nowadays comes more from corporate events and hiring out to enthusiast clubs than actual racing and practice days.

'With the track events you just hire it out to the club that brings in the punters, but with racing schools or retail events you have to bring in the paying customer. Understanding this type of business will mean a successful bidder will hit the ground running,' said one source.

Stewart and his son Paul founded the Stewart-Jaguar racing team in 1997 and sold it to Ford in 1999 for £60m. In 2000 he stepped down as chairman-and chief executive of the Jaguar team but maintains close links with Ford.

A preliminary sales information document on the four circuits lists around 300 days 'used for retail and corporate activities in 2002'. Overlapping those were 194 days 'dedicated to racing events', the document states.

Shortlisted bidders will receive a confidential sales memorandum next week detailing each track's earnings. A final buyer should emerge in September with sale completion scheduled for October.

Octagon is valued at £70m in Interpublic's fourth-quarter accounts published in March. The division includes a 15-year lease of Silverstone and the rights to stage the British Grand Prix, neither of which form part of the sale.

Stewart is chairman of the British Racing Drivers' Club - Silverstone's freehold owner.

Track's declining fortunes
BUILT IN 1926, Brands Hatch quickly became synonymous with British Grand Prix motor racing. Formula One moved to Silverstone at the end of the 1986 season and Brands Hatch's fortunes have never quite recovered.

That year, John Foulston bought Brands Hatch, Oulton Park and Snetterton from Grovewood Securities and established Brands Hatch Leisure, adding Cadwell Park the next year. Foulston was killed racing at Silverstone. His widow Mary took over and BHL floated on the London Stock Exchange in 1996 with daughter Nicola as chief executive.

It was sold to Interpublic in 1999 for £120m and renamed Octagon, but turned in a £60m loss last year.